Question

how to make revaluation account

Answer 1

credit in the revaluation account with the value of increase in asset and decrease in liabilities. debit the value of decrease in the value of assets and increase in the value of liabilities.
Balance is to be transfered to capital reserve.

journal entry will be
............
1.increse in asset
asset ac. dr.
to, revaluation ac
2.. decrease in liabilities
liability. ac. dr.
to, revaluation. ac
3..unrecorded asset
asset. ac. dr.
to, revaluation. ac
4.. decrease in asset
revaluation. ac. dr.
to, asset. ac
5.. increase in liabilities
revaluation. ac. dr
to, liabilities. ac
6.. unrecorded liabilities
revaluation. ac. dr.
to, liabilities. ac